S&P gives BB- to CDW notes

S&P said it assigned its BB- issue-level and 6 recovery ratings to the $630 million senior notes due in 2029 proposed by CDW Corp.

These ratings match those on the company's existing unsecured debt. CDW LLC and CDW Finance Corp. will issue the notes.

CDW intends to use the proceeds to refinance its $600 million senior notes due in September 2025 and to pay transaction-related fees.

The BB+ issuer credit rating on CDW Corp. is unchanged.

“The rating reflects the company's position as a leading IT reseller in North America, its broad product portfolio, and its deep domain expertise. Those factors are partly offset by its participation in a highly fragmented and competitive industry, as well as its exposure to cyclical IT spending from its small and midsize customers,” S&P said in a news release.

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